How to manage credit card?

What is Credit Card?

A credit card is a payment card that allows its user make purchases or cash withdrawal up to a certain limit allowed by banks on credit and pay later after some days on due dates.

Credit cards are widely used by merchants and most commonly used for online purchases like booking movie or travel tickets, paying insurance or buying from e-commerce sites.

Every user gets a certain amount of limit to spend on their cards based upon credit score and user income. So initially the user buys product or service using cards and then user makes a payment on its due dates. Usually, user gets 10-12 days of buffer time to pay their bills after the bill gets generated.

There are different types of credit cards issued by financial institutions and user needs to choose right type of card based on the benefits of cards. The different types of cards are as. Reward cards, fuel cards, cashback cards etc. Based on the usage, user should select right type of card.

It is important that users use credit card very carefully, as failing to make payments with in due dates can lead to very hefty interest and penalties.

Why should use credit cards?

There are multiple reasons, an individual should use credit cards:

1. Convenience: An individual will not need to carry a heavy cash. using a a single card user can make any amount of payment within its allocated limits.
2. Time leverage: An individual can leverage min 10-12 days after bill generation and up to 30-40 days after making their purchase
3. Rewards & benefits: Every card comes with some or other benefits on every penny spend.
4. Improving Score: Use of credit card responsibly and making timely payments could help increase your score
5. Fraud Protection: Credit cards are highly protected.

How to make timely payments?

Its highly possible that the user may miss to pay the credit card bills on time, but no worries there are many apps in the market which keeps track of credit cards and its transactions. And on top of that the apps also provide another rewards for using those apps to make payments. And one of such app is CRED app.

What is CRED?

CRED is a mobile application which allows users to manage and make their credit card payments. It also pays reward and points equivalent to the payment amount which user can use it to play the contest or buy the products from cred on discounted prizes.

The app is one stop solution for managing multiple credit cards. Also, the app helps user to track the spend and monitor user score.

To access the app the user needs to follow simple signup process, and you can download app from here.

Conclusion:

Do use credit cards to leverage the time, make payments in emergencies, collect rewards and keep track of all credit cards through an app.